Garanti BBVA's Strategic Move with Eurobond Issuance

Garanti BBVA's Strategic Eurobond Issuance

Garanti BBVA, a well-known financial institution, has taken a proactive step in strengthening its capital base by announcing plans for a eurobond issuance. This initiative is part of its strategy to attract institutional investors located outside of Turkey, utilizing U.S. dollar-denominated subordinated notes that comply with the Basel III standards.

Partnerships for the Issuance

The issuance process involves collaboration with a consortium of leading international banks. Notable institutions participating in this initiative include Banco Bilbao Vizcaya Argentaria, S.A., Citigroup Global Markets Limited, Standard Chartered Bank, and several others. By partnering with reputable organizations in the financial sector, Garanti BBVA aims to enhance the appeal of its new bonds to a broader audience.

Managing the Issuance Effectively

With the expertise of these banks, Garanti BBVA is well-positioned to manage the complexities of the issuing process efficiently. This strategic alliance not only demonstrates the bank's credibility but also its commitment to maintaining strong relationships within the financial community.

Cash Tender Offer for Existing Bonds

Alongside the new eurobond issuance, Garanti BBVA is also executing a cash tender offer targeting its existing Tier 2 bonds. These bonds, identified by ISIN codes XS1617531063 and US900148AE73, represent a nominal value of $750 million and are due to mature in 2027. By managing this tender offer, Garanti BBVA is taking a prudent approach to handle its financial obligations and optimize its capital structure.

Redemption Management

Banco Bilbao Vizcaya Argentaria, S.A. and Standard Chartered Bank have been selected to facilitate the redemption process. This decision underscores Garanti BBVA's commitment to operational transparency as it ensures that the conditions surrounding the redemption are handled with utmost integrity.

Commitment to Transparency and Communication

Garanti BBVA has reaffirmed its dedication to transparency, adhering to established guidelines and principles set forth by regulatory authorities. The bank has promised that the information related to the eurobond issuance and the tender offer is accurate and consistent with its internal records. Their commitment reflects a deep responsibility toward investors and the public.

Investor Relations Contact

Additionally, Garanti BBVA encourages open communication with investors. They have provided accessible contact information for their Investor Relations team, ensuring that stakeholders can reach out for insights or inquiries regarding the eurobond and tender offer. This commitment to investor engagement demonstrates Garanti BBVA's proactive stance in maintaining trust and fostering relationships.

Conclusion

Overall, Garanti BBVA's recent announcements about the eurobond issuance and cash tender offer signify a strategic move to bolster its capital and engage with the investment community effectively. By focusing on transparency and collaboration with reputable financial institutions, Garanti BBVA showcases its determination to thrive in a competitive environment.

Frequently Asked Questions

What is the purpose of Garanti BBVA's eurobond issuance?

The eurobond issuance aims to strengthen the bank's capital base and attract institutional investors from outside Turkey.

Who are the banks involved in the issuance?

Leading banks such as Banco Bilbao Vizcaya Argentaria, S.A., Citigroup, and Standard Chartered are collaborating in this effort.

What are the details of the existing bonds involved in the tender offer?

The existing bonds have a nominal value of $750 million, due in 2027, with ISIN codes XS1617531063 and US900148AE73.

How can investors get more information?

Investors can reach out to Garanti BBVA's Investor Relations team for inquiries regarding the eurobond issuance and tender offer.

What measures is Garanti BBVA taking to ensure transparency?

The bank is committed to adhering to regulations and providing accurate information consistent with its records, reflecting its responsible approach.

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